5 Stocks Pushing The Diversified Services Industry Lower

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

All three major indices are trading down today with the Dow Jones Industrial Average ( ^DJI) trading down 39 points (-0.2%) at 16,431 as of Monday, Jan. 6, 2014, 11:55 AM ET. The NYSE advances/declines ratio sits at 1,317 issues advancing vs. 1,618 declining with 151 unchanged.

The Diversified Services industry currently sits down 0.3% versus the S&P 500, which is down 0.3%. On the negative front, top decliners within the industry include WEX ( WEX), down 2.2%, CoStar Group ( CSGP), down 1.6%, Ulta Salon Cosmetics & Fragrances ( ULTA), down 1.5%, Graham Holdings ( GHC), down 1.5% and Computer Sciences Corporation ( CSC), down 1.1%.

TheStreet would like to highlight 5 stocks pushing the industry lower today:

5. H&R Block ( HRB) is one of the companies pushing the Diversified Services industry lower today. As of noon trading, H&R Block is down $0.72 (-2.5%) to $28.56 on average volume. Thus far, 944,571 shares of H&R Block exchanged hands as compared to its average daily volume of 2.0 million shares. The stock has ranged in price between $28.54-$29.41 after having opened the day at $29.30 as compared to the previous trading day's close of $29.28.

H&R Block, Inc., through its subsidiaries, provides tax preparation and related services to the general public in the United States, Canada, and Australia. H&R Block has a market cap of $8.1 billion and is part of the services sector. The company has a P/E ratio of 17.7, equal to the S&P 500 P/E ratio of 17.7. Shares are up 0.8% year to date as of the close of trading on Friday. Currently there are 5 analysts that rate H&R Block a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates H&R Block as a buy. The company's strengths can be seen in multiple areas, such as its solid stock price performance, increase in net income, good cash flow from operations and notable return on equity. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated. Get the full H&R Block Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

4. As of noon trading, Mercadolibre ( MELI) is down $2.19 (-2.1%) to $101.74 on light volume. Thus far, 135,739 shares of Mercadolibre exchanged hands as compared to its average daily volume of 618,100 shares. The stock has ranged in price between $101.56-$105.18 after having opened the day at $105.18 as compared to the previous trading day's close of $103.93.

MercadoLibre, Inc. hosts online commerce platforms in Latin America. Its services are designed to provide users with mechanisms for buying, selling, paying, collecting, generating leads, and comparing listings through e-commerce transactions. Mercadolibre has a market cap of $4.6 billion and is part of the services sector. The company has a P/E ratio of 42.9, above the S&P 500 P/E ratio of 17.7. Shares are down 3.6% year to date as of the close of trading on Friday. Currently there are 2 analysts that rate Mercadolibre a buy, 2 analysts rate it a sell, and 3 rate it a hold.

TheStreet Ratings rates Mercadolibre as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, good cash flow from operations and solid stock price performance. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results. Get the full Mercadolibre Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

3. As of noon trading, AthenaHealth ( ATHN) is down $1.67 (-1.3%) to $131.35 on light volume. Thus far, 71,930 shares of AthenaHealth exchanged hands as compared to its average daily volume of 575,700 shares. The stock has ranged in price between $130.92-$134.57 after having opened the day at $133.43 as compared to the previous trading day's close of $133.02.

athenahealth, Inc., a business services company, provides ongoing billing, clinical-related, and other related services to medical group practices primarily in the United States. The company provides services through the athenaNet, a proprietary Internet-based practice management application. AthenaHealth has a market cap of $4.9 billion and is part of the services sector. Shares are down 1.1% year to date as of the close of trading on Friday. Currently there are 8 analysts that rate AthenaHealth a buy, 3 analysts rate it a sell, and 12 rate it a hold.

TheStreet Ratings rates AthenaHealth as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share. Get the full AthenaHealth Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

2. As of noon trading, Paychex ( PAYX) is down $0.39 (-0.9%) to $44.83 on light volume. Thus far, 472,103 shares of Paychex exchanged hands as compared to its average daily volume of 2.3 million shares. The stock has ranged in price between $44.79-$45.66 after having opened the day at $45.25 as compared to the previous trading day's close of $45.22.

Paychex, Inc., together with its subsidiaries, provides payroll, human resource, insurance, and benefits outsourcing solutions for small to medium-sized businesses in the United States and Germany. Paychex has a market cap of $16.4 billion and is part of the services sector. The company has a P/E ratio of 28.0, above the S&P 500 P/E ratio of 17.7. Shares are down 0.7% year to date as of the close of trading on Friday. Currently there is 1 analyst that rates Paychex a buy, 4 analysts rate it a sell, and 13 rate it a hold.

TheStreet Ratings rates Paychex as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, expanding profit margins, good cash flow from operations, increase in net income and growth in earnings per share. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full Paychex Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

1. As of noon trading, MasterCard Incorporated ( MA) is down $4.37 (-0.5%) to $826.44 on average volume. Thus far, 269,031 shares of MasterCard Incorporated exchanged hands as compared to its average daily volume of 599,100 shares. The stock has ranged in price between $824.66-$833.88 after having opened the day at $833.50 as compared to the previous trading day's close of $830.81.

MasterCard Incorporated, together with its subsidiaries, provides transaction processing and other payment-related services in the United States and internationally. MasterCard Incorporated has a market cap of $96.6 billion and is part of the financial sector. The company has a P/E ratio of 32.9, above the S&P 500 P/E ratio of 17.7. Shares are down 0.6% year to date as of the close of trading on Friday. Currently there are 17 analysts that rate MasterCard Incorporated a buy, no analysts rate it a sell, and 9 rate it a hold.

TheStreet Ratings rates MasterCard Incorporated as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth, increase in net income, expanding profit margins and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value. Get the full MasterCard Incorporated Ratings Report now.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

If you are interested in one of these 4 stocks, ETFs may be of interest. Investors who are bullish on the diversified services industry could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the diversified services industry could consider ProShares Ultra Short Consumer Sers ( SCC).

null

More from Markets

Oil Slumps, Gas Spikes Ahead of Holiday Weekend; Assessing the Chipmakers--ICYMI

Oil Slumps, Gas Spikes Ahead of Holiday Weekend; Assessing the Chipmakers--ICYMI

Week Ahead: Wall Street Looks to Jobs Report as North Korea Meeting Less Certain

Week Ahead: Wall Street Looks to Jobs Report as North Korea Meeting Less Certain

Dow and S&P 500 Decline, Energy Shares Fall as U.S. Crude Oil Slides 4%

Dow and S&P 500 Decline, Energy Shares Fall as U.S. Crude Oil Slides 4%

Replay: Jim Cramer on the Markets, 10-Year Yield, Oil Prices and Foot Locker

Replay: Jim Cramer on the Markets, 10-Year Yield, Oil Prices and Foot Locker

Video: You Could Live in a Ritz-Carlton or St. Regis Home

Video: You Could Live in a Ritz-Carlton or St. Regis Home